Ford makes UAW contract offer

[MontegoRX]

https://www.barrons.com/articles/ford-uaw-union-gm-stellantis-chrysler-stock-32e0e467?mod=bar_RHF

Looks like there's still quite a gap in the Ford/UAW negotiations. Two weeks to go!

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[Skye]

https://www.cnbc.com/2023/08/31/uaw...gainst-gm-stellantis-over-contract-talks.html

Some further insight. Overall, it seems parties as posturing, doing an initial volley of positions and digging in.

 

[jimsgunshop]

great !! my eco boost has been sitting in production for a week now i thought it only takes 2 days to complete thats what the sales manager says but she seems clues other than taking orders has no idea what goes on in the back end! i doubt it will be complete and shipped by the 14th!

 

[Skye]

Listed dates for Production can show as 10 days to two weeks.

I'd like to think that, if discussions are moving forward, work will continue, contract or not. If things become stalled, yes, a strike is quite probable. Early innings. We might not hear anything new until after the Holiday. Even then, all parties will want to grind it out to make the best deal (from their perspective).

 

[EcoVert]

What is Jim Farley salary?


Farley's base salary remained unchanged at $1.7 million, while his stock awards and non-equity incentives dipped slightly. The company said his 2022 compensation amounted to 281 times the median total compensation of all Ford employees. Farley earned $22.8 million in 2021.Mar 31, 2023

Ford CEO Jim Farley's 2022 compensation falls slightly to $20.9M

autonews.com
https://www.autonews.com › executives › ford-ceo-jim-

$28,979,570

GM CEO Mary Barra's 2022 compensation: $28,979,570But other top brass came in either flat against or slightly below their 2021 total compensation. All the executives earned smaller bonus payments due to increased aggressive financial targets set by the board of directors at the end of 2021.Apr 28, 2023

Part of the reason this ain't going to fly. Though not a slap in the face like Stellantis offer the people who make the money for these salaries want to share in the wealth.

 

[gpellis87]

Well... at least they didn't get hit by UAW for unfair labor practices I guess.

 

[Q6543]

I was listening to people losing their heads about it last night.

my quote… they’re close enough, it’ll pass and we’re not gonna strike.

I do see stellantis striking though.

y’all should hear the rumor mill up until yesterday…. People with less than 2-3 year’s thinking they were get a raise to 40 plus dollars an hour and 25K signing bonuses.

yesterday was a welcome reality check and a lot of people are still in denial.

we’re pretty close to a good contract though!
I say no strike

 

[Gogoggansgo]

That contract proposal from Ford is absolute garbage, it also nerfs profit sharing by 21 percent. He doesn’t really matter where you fall on this politically or you think they make enough money. Ford is having major personal issues and it’s directly related to how they treat/pay people. Nobody is going to work on the line at 16 bucks an hour, this isn’t 2010.

 

[BlackFerret69]

Another article:

https://www.reuters.com/business/autos-transportation/ford-makes-uaw-contract-offer-2023-08-31/

 

[BlackFerret69]

And UAW's response:

https://uaw.org/our-demands-vs-ford-proposals/

As a share holder (100 shares), I wouldn't call $0.15 a share per quarter exactly "shoveling". At today's close (F) was $12.14 a share, that brings the dividend to 1.24% quarterly or ~5% annually.

I am close to retirement and have sold all of my growth stocks for value stocks with a dividend and I am Ford owner through and through, and have been for decades. And though I stuck it out during the pandemic with the temporary suspension of the dividend, If they drop their dividends, I would sell to reinvest in a dividend stock.

Edit: Ford stockholders:

Now Ford stock is 45.25% owned by retail and 52.63% by institutional investors. Most have no "Loyalty" to Ford as a company or brand.

And you can bet that the majority of retail and institutional investors do not hold Ford stock for anything other than the dividend and for S&P index funds that have to own it because it is in the S&P 500.

If there are enough stockholders with the same idea that Ford stock is not worth holding without the dividend, they will sell off Ford stock like there is a firesale.

It will be bye, bye Ford's value, if stock price drops enough, it will be bye, bye Ford.

Then what?

And this?

Hate or asail me if you will, makes no difference.

 

[BlackFerret69]

Well... at least they didn't get hit by UAW for unfair labor practices I guess.

I'm trying to get my head around how not responding (GM) or making what to the UAW considers an unreasonable response (STLA) to union demands constitutes unfair labor practices.

 

[EcoVert]

F - Ford Motor Co Shareholders - CNNMoney.com

 

[marcekb]

Farley's base salary remained unchanged at $1.7 million, while his stock awards and non-equity incentives dipped slightly. The company said his 2022 compensation amounted to 281 times the median total compensation of all Ford employees. Farley earned $22.8 million in 2021.Mar 31, 2023

Part of the reason this ain't going to fly.

Let's do the math for that argument. If you divide Farley's total compensation by the total number of Ford employees, and simply not pay him a dime, they would each get $120.81 per year. With a median salary of $74,377.23, I don't think it makes a bit of sense to talk about Farley or reducing his pay. They will get far more (~$32,000 between pay and benefits, not including healthcare benefit) in the very first year of the new contract. But hire a CEO without a fair market compensation and you won't have a company to pay 173,000 employees a dime.

That contract proposal from Ford is absolute garbage, it also nerfs profit sharing by 21 percent. He doesn’t really matter where you fall on this politically or you think they make enough money. Ford is having major personal issues and it’s directly related to how they treat/pay people. Nobody is going to work on the line at 16 bucks an hour, this isn’t 2010.

I'll be interested to let the market prove that. Doesn't matter what anyone says.

we’re pretty close to a good contract though!
I say no strike

That's heartening. It sure looks like a very good proposal, and far exceeds what most others in the US get in the same period.

 

[BrianJ77]

I read the full release on Ford's own media website. I thought it looked very good. $92k is nothing to sneeze at financially. Those are good wages IMHO. I guess we will wait to see what the UAW president says about it, and if they are close to an agreement. Hoping, like the rest of y'all, for no strike, but for Ford employees to get a good wage and feel proud to be building Ford cars and trucks. All we can do is wait and see.

 

[EcoVert]

Let's do the math for that argument. If you divide Farley's total compensation by the total number of Ford employees, and simply not pay him a dime, they would each get $120.81 per year. With a median salary of $74,377.23, I don't think it makes a bit of sense to talk about Farley or reducing his pay. They will get far more (~$32,000 between pay and benefits, not including healthcare benefit) in the very first year of the new contract. But hire a CEO without a fair market compensation and you won't have a company to pay 173,000 employees a dime.



I'll be interested to let the market prove that. Doesn't matter what anyone says.



That's heartening. It sure looks like a very good proposal, and far exceeds what most others in the US get in the same period.

I'm not saying not pay Farley he's not the only one of the top brass making a very good pay day. Ford made 23.66 billion dollars last year after losing 3 billion on EVs. I'm saying Ford could be more generous after doing the recession UAW workers gave a lot back.

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